New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1887-07-22
ROBERT GARRETT SUED.
A NEW PHASE OF rHE BALTIMORE DEAL.

NEW PHASE OF THE BALTIMORE OhAL'
SOME POSSIBLE CONSEQUENCES OF IT'S COLLAPSE
WHAT MIR. IVES SAYS
The official announcement by President hopee'
Garrett that ali negotiations IN regara W tno
Baltimore aud Ohio deal had been endeo oy inc
failure OF the Ives syndicate to fuihI tneir ensas
mea;f and that the Baltimore and ONO hairoso
propert,es including the telegraph system remained
in the same pership and control when the nego-
tations we're begun. relieved Wall street rom vast
and unnecessary mystery yesterday. ine pu",'no
letter OF Mr.. Garrett contained the aaui.onai i'o
mstico that no had not bought the Baltimore a0d
Ohio stock he'd by the Johns Hopkins University 10
get An absolute majority OF the companys Stock ne
mad seccred options from the university and other
holders and it has been frequently reported that ne
had been compelled to complete the purchase In
his letter he states explicitly:
81 have not purchased tho stock OF the johns
Hor kins University, stated in OF the news
papers. | had option that stock and also upon
that of several other holders but have not exercised
these options, do intend now to do So Inc
statement in some of the papers that purchased
large blocks of the Baltimore and Ohio stock is mis-
take. As have stated, had options. but circum-
stances rendered 1T unnecessary TO close them
Mr.. Garrett took luncheon at Demoncos in Broad.
st. yesterday, but declined to discuss the subject oil
his letter He said to person that the letter vas
absolutely correct and represented his position in the
fullest particulars In reply to inquiry whether ne
not negotiating with a new syndicate. he was re-
ported saving that his letter must speak for itself
1t was suggested indeed that this letter was merely
a part of scheme to rid the negotiations OF inter-
med ,aries and that the deal WAS successful
issue than BEFORE The statements contained in the
letter were not generally considered, however, as
supporting this viev and persons in position to
know about real conditions OF the deal declared
that there foundation TOR this theory.
Messr Ives and Stayner yesterday begun two actions
in the supreme Court OF this State. and the sum
In each served upon Mr. Garrett last night mt
the Victoria Hotel.
tits understood the object OF action will be to
compel Mr.. Garrett to carry out the contract which
Messrs. Ives stayner claim that ne maze
with them and by which he was to deliver TO
them O controlling interest In the Baltimore anu
Ohio Railroad the telegraph and the express companies
The other action will be suit for pecuniary damages
alleged be entailed Messrs Ives and Stayner by
dr. allegation that negotiations between him
and them are OF.
There was a conference at the Office of Henry S.
Ives Co. in the afternoon, OF persons interested IN
the DEAL but had special significance aside from
the fact that the affairs of the syndicate under
discussion. IL was rumored that reply to Mr. Gar
rett letter would be made ia behar OF the syndicate
but Henry 3. Ives said after the meeting that the
ruinor not correct
he SAID. and then reluctantly added in reply to re-
peated inquiries have never considered that
held an option buy control of the Baltimore and
Ohio Railr lad. l bought the stock and have made
partial payment on account VI II. i have not de-
maDded .he return OF the money and securities given
to Mr. Garrett for have had 40 occ lsiOD to do So
They part payment OF my purchase" Mr.. Ives
declined to go into further particulars, but 1t
learned from frienus OF Mr. Garretts that the money
ana securities had not been returned and would not
be except az the end of suit at law. IL is under
stood that Mr. CT rrett regards the deposts as for
feted of the failure of the Ives syndicate TO
complete the plain terms of the contract While the
amonnt pad is not positively known, IL has been com
moaly accepted TACT that several hundred
thousand dollars in money and something over
81. SOC, 900 in the stock of the Cincinnati Hamilton
and Dayton Railroad. which is owned by Mr. Ives
and his friends, had been turned over TO President
Garrett. The complications that may arise from
these the subject of much connect,
ure IN Wall Street yesterday afternoon. IL was con-
sdered tolerably certain that they would be settled
only by the ,urts, and that further negotiations
about the property would be rendered impossible by
the litigation.
when Joined his family the Victoria Hotel After
dinner he left returned late He declined
to anything further Tor publication concerning the
disposition of his Baltimore and Quo interests. HIS
Rotary said last evening that Mr. Garrett induced TO
letter published yesterday In Difference 10 the
widespread interest the matter and the evident mis-
apprehension Of facts which he conceived IL 10 he his
duty the public correct He expected 70 sail the
Etruria Tomorrow aud remain abroad until late In
the autumn stad In his behalf that his visit 10
Europe purely for the OF seeking rest Mach
OF his time will lie spent IN Hamburg An Impression
exists. however, among few operators In wall street.
that his mission to Europe is Of greater Significance and
that foreign capitalists assist In promoting the
scheme harmonzing ofthe various interests orig
inaily mentioned III connection with the socalled DEAL